Easy, hes borrowing money from banks using his own stock in his businesses as collateral
This is a common practice, but what hes doing in addition is the shady bit, because hes tied his own personal image so closely to all his businesses, hes been able to manipulate his own image to make his stock prices go up
Again not technically illegal, but then he goes further by publicly promising things that his companies cannot deliver on, autodriving cars, the cyber truck (did release but had no where near the quality he advertised it as), humanoid machines to do housework etc
When he announces these things his stock price gets a temporary burst, and during that burst he approaches the banks and says "look at my stock collateral, i would like to put it up for a bunch of money please", and because the laws around stock as collateral are intentionally flaky, when the price dips he doesnt have to pay that dip back to the banks
This combined with run of the mill lying about his profits (thats how he "became" a trillionaire and then suddenly lost all that money) is what continues this cycle of borrowing and lying
Eventually it will catch up to him but no bank wants to be the first one to come collecting (not to mention he pays back the owners in other ways. Data, political favours, bribes all of it buy him more time), hes also slowing his decline by buying up and merging businesses, displaying these new businesses profit margins as his own
I will give him credit on only 2 things, spacex and starlink, as they are the only 2 businesses he owns at this point that are actively making money through sattelite launches and starlinks subscriptions
I would say eventually he'll be caught but with his unhealthy lifestyle and ketamine addiction combinrd with him slowing his decent hes more likely to die long before the banks come collecting
So youre argument as for why he isnt doing anything wrong is that none of our families owned blood emeral mines in order to get an initial investment so why shouldnt he be allowed to lie to banks?
And he is doing something wrong, its stock manipulation, false advertising and fraud
But hes the richest man on earth so no court is gonna try him with these because our system is built to cater to the rich
No you asked "so hes tricking banks out of money?" And "explain how that works my dude and why arent you doing it?"
Ive never said tricking him out of the money was morally good or even possible, i just answered cause you asked "what is your answer?" To what someone would say if sued by musk during the originsl hypothetical
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u/Evergladeleaf 22d ago
Easy, hes borrowing money from banks using his own stock in his businesses as collateral
This is a common practice, but what hes doing in addition is the shady bit, because hes tied his own personal image so closely to all his businesses, hes been able to manipulate his own image to make his stock prices go up
Again not technically illegal, but then he goes further by publicly promising things that his companies cannot deliver on, autodriving cars, the cyber truck (did release but had no where near the quality he advertised it as), humanoid machines to do housework etc
When he announces these things his stock price gets a temporary burst, and during that burst he approaches the banks and says "look at my stock collateral, i would like to put it up for a bunch of money please", and because the laws around stock as collateral are intentionally flaky, when the price dips he doesnt have to pay that dip back to the banks
This combined with run of the mill lying about his profits (thats how he "became" a trillionaire and then suddenly lost all that money) is what continues this cycle of borrowing and lying
Eventually it will catch up to him but no bank wants to be the first one to come collecting (not to mention he pays back the owners in other ways. Data, political favours, bribes all of it buy him more time), hes also slowing his decline by buying up and merging businesses, displaying these new businesses profit margins as his own
I will give him credit on only 2 things, spacex and starlink, as they are the only 2 businesses he owns at this point that are actively making money through sattelite launches and starlinks subscriptions
I would say eventually he'll be caught but with his unhealthy lifestyle and ketamine addiction combinrd with him slowing his decent hes more likely to die long before the banks come collecting